Infrastructure improvement in Thailand opens new opportunities for property market expansion

May 11, 2017

Infrastructure network improvement helps Developers to have an expansion of the property market in Thailand

Most of Bangkok’s condominiums are located along the city's mass transit network lines and densely concentrated around the stations. Now developers are continuously looking forward to BTS or MRT's next expansion in order to finance on any innovation and improvements to the system.

The government declares new policy to invest THB 1.79 trillion in infrastructure projects across Thailand has changed the developer's current strategy who traditionally focused on central parts of Bangkok.

Last year there were 20 projects that consist the policy that were approved and plans to improve the existing road, rail, sea and air transportation networks. The projects will begin this year and expected to run until 2036. It will be a big help to boost the economy as businesses will be able to take advantage of the links across the country as well in the region. Approximately to be worth THB 3 trillion in 2016 – an increase of 7.5 percent from the previous year, the logistics industry is a big business in Thailand.

Improvement in the logistics network will help lower the costs of transporting goods from the manufacturer or source to the end user. The advantage of the improved logistics options will also open new areas in the country to explore for new business ventures and opportunities. Property developers are paying careful attention of these plans by looking at residential areas as part of their development strategies as they will open an opportunity to build accommodation for the workers based on these businesses.

Thailand's road network is good standard, however the rail network needs more speed and effectiveness even if it is not a common transport choice. The government see's the importance of improving the transportation network and as part of the investment strategy, upgrading to two rails from single track lines will significantly speed up transportation for cargo and passengers. This will greatly lower the costs of transporting goods which the road network is so much expected upon at present.

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